Peer comps help, but only when normalized. Compare fully diluted valuation (FDV), circulating market cap, revenue/fee multiples, users, TVL, growth rates, retention, and risk profile. Adjust for token unlock overhang, treasury size, and liquidity depth. Evaluate qualitative moats—standards control, network effects, switching costs—often missed by simple caps. Consider stage: pre-PMF projects should not trade at mature protocol multiples. Use a basket of comparable projects across chains to avoid single-ecosystem bias. Cross-check with discounted cash/fee flows or user-based models where data exists. Market-cap parity without matching fundamentals is misleading; valuation fairness emerges when price levels align with traction, durability, and risk-adjusted growth prospects.
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Whether airdrops offset gas costs depends on token value, claim complexity, and network fees. On low-fee chains or when the airdrop token has significant market value, participants can net positive returns even after multiple interactions. However, on high-fee mainnets, simple one-off tasks may not justify expensive gas unless the token allocation is substantial or later unlocks enhance value. Projects sometimes reimburse claim fees via relayers, meta-transactions, or permit gasless claiming to widen accessibility. Rational participants estimate expected allocation versus average gas per action; if expected token value falls short, better to prioritize tasks with multi-benefit utility (e.g., providing real liquidity or staking) rather than chasing tiny speculative drops.
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In 2024, the cryptocurrency market more than doubled in value, with total market capitalization soaring from $1.65 trillion on January 1 to $3.28 trillion by year’s end. This remarkable increase was fueled by anticipation of the Bitcoin halving and the approval of a Bitcoin ETF in Q1, as well as Donald Trump's election victory in Q4. These events contributed to a 98% growth in the market cap.
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